By Paul Carton
April 22, 2008

Many of us old enough to recall the 1970s TV show "The Six Million Dollar Man," know it was about a guy severely injured in a plane crash who was subsequently "rebuilt" in a high-tech, clandestine medical procedure costing six million dollars.

In the show, the main character's right arm, left eye and both legs were replaced by "bionic" body parts that enhanced his strength, speed and vision far beyond that of mortal humans.

ChangeWave's February survey of 148 doctors involved with "bionic" devices, looked at current and future demand trend for joint replacements, cardiac implants and other types of body repair and correction medical products.

"Bionic" Boomers

Today, when a limb or organ no longer functions as it should, one increasingly popular option is to replace it with a "bionic" device.

We asked our panel of doctors which types of devices will experience the largest growth in demand over the next 12 months. Little wonder, with the aging of the baby boomers, that one-in-two (50%) believe that it's Joint Repair/ Replacement devices.

"I'm old enough to remember the 1970s TV show The Six Million Dollar Man," said Tobin Smith, founder of ChangeWave and editor of ChangeWave Investing. "And while we aren't quite there yet in terms of bionic technology, the fact that many aging baby boomers are looking for knee and hip replacements translates into big gains not only for the technology in general, but also for the companies specializing in this sector."

Which companies are expected to benefit most from this growth in demand for bionics? Joint Replacement manufacturers Stryker (SYK) (27%) and Zimmer (ZMH) (20%) were two of the top firms mentioned, along with cardiac device maker Medtronic (MDT) (27%).

"Medtronic recently purchased multiple patents and technology from Biophan Technologies with regards to MRI-safe pacemaker and pacemaker leads," according to respondent WPW6938. "Aging baby boomers that require pacemakers and defibrillating implants will benefit from devices that also allow for MRI scanning to be done."

Manufacturers Stryker and Zimmer offer a variety of custom products and solutions that help to simplify joint replacement surgeries. They are well positioned to capitalize on the growing momentum for bionic devices. As respondent MAG02539 points out, "Joint replacement solutions are becoming more specific for the patients' particular problem, requiring less complicated surgeries."

New Medical Breakthroughs

Which types of devices are most likely to experience new technology breakthroughs over the next 12-24 months?

Joint Repair/Replacement Devices (31%), along with Prosthetic Limbs (30%) head up the list of devices most likely to experience technology breakthroughs going forward.

Dental Implants (25%), Vision Correction Devices (23%) and Back/ Spine Repair & Replacement solutions (21%) also received significant mention.

In another big positive for the growth of "bionic" devices, 31% of doctors think insurance companies and other payors will be More Willing to reimburse healthcare providers for these devices over the next 12 months. Only 18% think they will be Less Willing.

So, is the baby boomer generation set to go "bionic"?

Yes, according to the ChangeWave survey results. And not only won't it cost six million dollars, but insurance companies appear increasingly willing to pick up the tab.

Jim Woods co-wrote this article.